Canada and Mexico’s importance to the United States is more than simply a border-state phenomenon. The trading relationship between United States and Canada represents the largest bilateral flow of income, goods, and services in the world. Meanwhile, Mexico is the United States’ second largest trading partner. Between NAFTA coming into effect and 2003, two-way trade between Canada and Mexico more than doubled.
In the aftermath of the September 11 attacks, changes to visa policies, new security procedures, and measures to combat fraud contributed to a shift in the traditional composition of immigration flows. This report highlights recent data on immigrants to the U.S. and offers key analysis of what these figures mean in terms of U.S. policy.
This policy paper calls for a "Grand Bargain" between the United States and Mexico to address the areas of immigration and national security. Such a bargain would address the conflicting realities of the U.S.-Mexico relationship. The bargain would be composed of three completely integrated programs and two additional areas that need to be adressed. This three-(plus two)-pronged approach would realistically address the most vexing problems in the bilateral relationship, and deliver to both sides the outcomes they most urgently desire.